BEST SELLING HOUSE & HOME INSURANCE IN SPAIN - IN ENGLISH.

GET A QUOTE FOR THE BEST SELLING HOME, HOUSE, HOLIDAY HOME, VILLA  AND BUILDINGS, CONTENTS & ALL RISK INSURANCE FOR YOUR PROPERTY IN SPAIN                                  

A COMPREHENSIVE GUIDE TO PROPERTY INSURANCE IN SPAIN FOR EXPATS IN ENGLISH.

LEGALLY REGUIRED PROPERTY INSURANCE IN SPAIN.

The only time you are likely to require a mandatory property insurance for your house, home or holiday home, whether rented or used as a temporary home or even a permanent home is when you require a loan or mortgage on that property in Spain. It is a requirement of the loan institution or Bank in Spain to protect their own interests with an insurance policy.

Beware, Spanish Bank insurance policies to protect their loan or mortgage are very basic and can be expensive. They are designed to protect the value of the loan against the building, not the contents or any of your possessions.

You do not need to take out a Bank Insurance product to protect your Mortgage or loan and we would highly recommend that you speak to a Home Insurance Specialist before you do.

We can provide you with all the information you need to save money, get the right cover and only pay for what you need.  Our insurance policies can be assigned to any Spanish or Foreign Bank for security.

You might also think about the need for a Life Insurance policy at this point in time as it can also be assigned to the bank, along with your house insurance policy.

SPANISH BANK INSURANCES FOR PROPERTY.

Banks are not Insurance Brokers, nor do they employ specialist insurance staff to advise on the best cover for you. They are authorised to sell insurance for a commission. They are unlikely to spend any time advising you on the different types of cover and hence not provide the cover you need. They don’t normally offer contents insurance, or any all risks insurance, or any cover for valuables and jewellery, collections or accidental damage.

Most Spanish Banks will insist that you take one of their buildings insurance products as part of the deal to get the loan or mortgage. Failure to do so could result in the Spanish Bank increasing your mortgage or loan interest rate, which is totally illegal and should be reported to the Spanish ombudsman.

If they don’t offer you a comprehensive insurance policy then how are you going to protect your contents and the liability issues that should be considered along with all the other house and home insurance choices? Invariably, most people end up contracting a second policy to cover the items that the Banks do not cover and hence you could end up paying twice.

COMPARE HOUSE & HOLIDAY HOME INSURANCE IN SPAIN.

There are no online property insurance comparison websites for Spanish insurance companies. The only way you can do this is to either search the web for insurance companies that are offering online quotes and fill in all the forms and personal details about your property and hope that they do get back to you. Not all will have the same type of cover and in most cases they will only be trying to find the lowest cover possible for the minimum premium.

They want your money, so they will find the cheapest level and priced policy they can. Watch the cover, not all policies are the same, and most are in Spanish house and home insurance policies  have lots of technical terms and need to be paid up-front from a Spanish Bank Account by Direct Debit.

You can make a comparison of insurance policies if you contact an insurance Agent or Broker that will explain what the differences in cover are and what you can expect in the event of a claim. Shop around, talk to several, see what their service is like. Will they call you back when you ask them to? Do they speak English? Is the policy in English.

CHEAP PROPERTY INSURANCE IN SPAIN.

Buying the cheapest form of home, house or holiday home insurance in Spain or Portugal may not be a wise idea. You are planning to protect the most valuable asset you own, or the second most valuable asset if it is your holiday home.

Cheap home insurance is just that, cheap. If you are not worried about your contents, garden furniture, fences, driveways, water leaks, emergency repairs, and many other possible situations, then  just take out the basic Spanish Bank insurance policy if you just want to cover the protections relating to getting the mortgage or loan.

APARTMENT AND BUILDINGS INSURANCE IN SPAIN.

If you are buying  a new or second-hand apartment in Spain, the buildings insurance should be provided with the purchase, as it is the building owner that must have a buildings and liability insurance on the entire building. This is needed to protect him from being sued in the event that someone gets injured from a defect in the building, or against any liability that may arise. In most cases this insurance will only cover the communal or community area.

Always request a copy of the insurance  document before buying the property and get your Lawyer to check it out. You will need to get your own apartment buildings insurance to protect you against broken pipes, and more importantly any liabilities.

Service charges on apartments can include payments towards insurance, but again, it is not likely to be for any of your contents or personal belongings. These  charges are mainly for the upkeep of the buildings and grounds and general maintenance of gardens etc.

RENTAL APARTMENT AND PROPERTY INSURANCE IN SPAIN.

We get a lot of questions regarding rental property insurance from both Landlords and potential Tenants. We will answer some of the basic questions here.

Do landlords need to provide insurance cover by Law?

As from 2021, we are not aware of any law that requires any Landlord to provide insurance for rental properties. It makes sense for them to have insurance to protect their property with buildings and contents to protect their own interests.

The law may change as it is now compulsory for all landlords to register their rental property and have a licence to rent the property legally from the Local Authority. This is to make sure that all the property and income taxes are paid through the proper channels.

Expat Landlords do tend to have insurance for rental properties in Spain and if you rent from a good Property Rental Agent in Spain, they will insist that the landlord provide them with a copy of that insurance. Always ask, otherwise you could be lumbered with a big bill for medical expenses, injuries or any accident that may occur and if  there are collective repair bills to communal areas.

Even if the property is furnished, the contents cover will be basic, unless  it is an extremely valuable property with luxurious and expensive furniture and contents.

Landlords and rental property insurance in Spain.

Our property insurance specialists are highly experienced professionals that can provide any renter or landlord with the right insurance. There are a whole range of options to both. Loss of income cover if the Tenant does not pay the rent, liability insurance, legal cover and assistance for eviction, to mention a few.

STORM, FLOODING AND NATURAL DISASTER INSURANCE

On all property insurance policies, the insurance company is obligated to pay a tax to central government of 8% to the Consorcio. The Consorcio de Compensation de Seguros,as it is locally known, is a government body that provides funds for areas where insurance claims are made that are classified as natural disasters.

It is also used in the event that the insurance company believes the claim to be caused by a natural disaster, such as landsides, flooding and subsidence.

MAKING A CLAIM AGAINST THE CONSORCIO DE COMPENSATION DE SEGUROS.

The insurance company will reject any claims that they feel are Consorcio claims, or anything to do with a natural event such as high winds blowing your roof tiles off or falling trees,  and you will have to make the claim to the Consorcio yourself in Spanish.

Your local Insurance agent is unlikely to deal with it as it is a claim being made against the Consorcio rather than the insurance company. Good luck with that one!

OUR CONSORCIO CLAIMS HANDLING SERVICE.

Our policy holders have our assurance that we will submit their claims for them against the Consorcio and keep them advised on progress. This service if completely free of charge although we are under no obligation to do so as it is a Consorcio claim and not an insurance claim.

Our Consorcio claims handling service is completely free to our clients, and for those that would like us to make a Consorcio claim on their behalf, we have a fee structure depending on the complexity of the claim. Contact one of our claim handling specialists to set this in motion.

We cannot guarantee any results, or how long it may take, as some consorcio insurance claims can be extremely complex, have a bureaucracy that is a nightmare and Spain is notorious for exhaustive delays on claims, but we will get it done.

VACANT PROPERTY INSURANCE IN SPAIN

With the Covid 19 Pandemic still ongoing, many rental properties, second homes and holiday homes are standing vacant for long periods of time. With many people not being able to return to Spain to carry out any maintenance or repairs, they have had to rely on friends and neighbours to help them out.

That’s great if you have a network to offer assistance. So, what happens when you have a burst pipe underground and you discover this by the fact that your water bill, which is normally  a few Euros every month, is now €2,000. Ooops! This is when you  really find out who your friends are.

Our house insurance policies for private property, rental property and landlords have a provision of covering water leaks and the means to get it repaired, even if you are not there. It is not just for water leaks. It covers any damages that might put your property at risk, to make the property safe or until you can get there. In the event of a total loss, some insurers will contribute  towards flights and accommodation in Spain.

How long can I leave my property vacant in Spain?

Our polices for permanent residents and homeowners will cover you for a period of vacancy of no more than 30 days. If you have a holiday home, your property can be vacated or left empty for up to 180 days as long as provision has been made for maintenance and regular checks.

If your property is vacant for more than 180 days or it is just a weekend property, no theft or robbery will be covered.  Our house, home and holiday home insurance policies can be adapted to your needs, so contact us and we will advise you as to the best way forward.

OVER INSURING YOUR PROPERTY IN SPAIN.

How this works.

Don`t confuse what you paid for your house as the rebuilding costs. Many people think they can just insure their properties for a lot more than it is worth and then when they make a claim, they will be covered for anything. NOT SO!

It also means that you are paying too much for the cover required for your home insurance. You can save money by evaluating your property and contents properly and then in the event of a total loss you will be re-imbursed for the total value.

Insurance companies want to know the rebuilding costs of the property and take into account the additional work of removing the building debris etc in the event of a total loss from a flood or other natural disaster.

Over insuring your property and contents will mean that you will be paying more for your house insurance premium than you need to, and you could lose money in the event of a claim for over or under insuring your property.

Home Contents Values.

Insurance companies replace items on a like for like basis. That TV you bought ten years ago will not be as expensive today to replace, as mass production has brought many prices down over the years. You are insuring for the replacement value.

Loss adjusters are very good at evaluating losses, after all it is their job to do so. It is important to make sure you evaluate the value of your contents correctly and re do it every few years to make sure that you top up the values.

Calculating the contents value of your property.

Some people make a list of everything in every room and itemise in detail. This is great if you have the time. Don’t forget that you have items outside, such as sheds, garden furniture, bikes, umbrellas and these are all classified as contents that are on your property. A good way to do it is to take a photograph of the room or items. This will give you a photographic record of the items in that room and indisputable evidence that it was there.

Ask yourself how much it would cost you to replace the items in that room, curtains, curtain poles, side tables, lamps. 6 pairs of designer shoes can soon push the contents value higher.

Create a value for each room, outside items and what's in the garage as contents. Tool can be worth thousands. Add it all together and it will give you an approximate value. If you add a lot of items during the year, or a property extension , increase your contents value at renewal.

Jewellery, valuables, art collections and anything of high value should always be photographed and have a certified valuation. A back up of these should be kept in a safe place, on the cloud or in a fireproof safe, so that they can be available to present to the insurance company in the event of a claim.

UNDER-INSURING YOUR PROPERTY IN SPAIN.

Under insurance is the opposite of over insurance and means that in the event of an insurance claim , your values were not high enough to replace all the items lost or damaged.

Most people are quite surprised at how much value they have in contents in their property. Carpets, curtains, beds, bedding, basic furniture, tv’s, laptops, computers,  let alone all your small personal items like pictures, ornaments and so on.

HOW OVER OR UNDER-INSURING YOUR PROPERTY AFFECTS ANY CLAIMS YOU MAKE.  

Example. You have a property rebuilding value, the amount it would cost to rebuild the house, new from scratch, of €150,000. excluding the land value. Contents value another €50,000. Total replacement value of €200,000.

The rebuilding of the property does not include the land values as the land is not likely to be destroyed, although it may affect the replacement costs of your garden and trees, swimming pools and any other outdoor items. 

You decide to insure the property for a value of €300,000, thinking that will keep you on the safe side, but in actual fact you have over insured your property by 33%. If your house is destroyed and you make a claim for a total loss and the insurance assessor values the rebuilding costs at €200,000, if you have over insured by 33%, they will deduct 33% from your claim values. They would therefore pay you €200,000 less 33% which would leave you short of some €66,000. Ouch!!

So, the moral of this example is that insurance can be fickle if not done properly. Our team of Property insurance specialists in Spain and Portugal are here to help you and will talk you through all of the details needed so that you can accurately  insure your property and not be at risk of incorrectly valuing the insurance cover.

BUILDINGS INSURANCE IN SPAIN

What is buildings insurance.

Buildings insurance in Spain is designed to cover the total cost of rebuilding the property in a total loss. It also covers the cost of repairs to the structure of your property. It also includes any other structures and fences, garages, terraces and swimming pools and garden structures, trees and plants from fire, smoke, explosions, flood, storms and natural disasters, fallen trees. In some cases, whereby the damage may be caused by a natural event such as a flood, may be referred to the Consorcio to pay for the claim.

House and holiday home insurance in Spain includes the costs of removal of any debris, legal fees, architect fees and licences needed to rebuild or repair the property.

Buildings insurance does not cover general repairs and maintenance, rising damp, poor plumbing, leaking roofs, faulty windows and locks, as that is the responsibility of the owner. In the event of storm damage or natural disasters, these items may be included for replacement or repairs.

INDEX LINKED HOUSE INSURANCE IN SPAIN.

Index linked property insurance is designed to link the value of your property to a system that calculates rebuilding and replacement costs on an annual basis and reflects the true market value of those costs. Index linking takes into account market fluctuations and keeps your insurance at a value that is current and correct and agreed by insurers.

This generally means that your house or property insurance values goes up each year and hence the possible slight increase in premiums at renewal.

If you have made any changes or large additions to your buildings or contents, this is the time to let your insurance company or insurance agent know and have it added to the values you are insuring.

CONTENTS INSURANCE IN SPAIN.

What is contents insurance in Spain?

Contents insurance in Spain is designed to protect your contents against loss, damage or theft. Home contents insurance covers those items that you would normally take with you if you were moving home, including some white appliances such as fridges, freezers and microwaves.

In Spain, all kitchens are classified as contents, as they are considered to be a removable item. It is important to make sure that you accurately insure your contents. If you have a €20,000 kitchen and you don’t include it in your contents calculation, you could be at risk of under insuring your contents.

Garden furniture, BBQ’s and most removable items like umbrellas, sun loungers, heaters and patio furniture are also classified as contents along with any items inside outbuildings or garages, excluding the car.

If you need to make a claim on your home insurance, they do offer a replacement on new-for-old basis. They will pay for a brand-new item of equivalent value, if your item is damaged or stolen.

OTHER TYPES OF INSURANCE FOR PROPERTY CONTENTS IN SPAIN.

Accidental damage insurance in Spain.

Accidental damage insurance is when a one-off accident occurs, or an unintentional event happens whereby an item in the house gets damaged or broken.

Accidental damage insurance is offered an option on house or contents insurance policies and you will have to pay an additional premium for this service. The higher the contents value, the higher the risk, hence the higher the premium – simples.

ALL RISK INSURANCE IN SPAIN.

All risks insurance cover, sometimes known as personal possession cover, is designed to protect those items of a personal nature that you are likely to take outside the house, on holiday or overseas.

These items could include mobile phones, laptops, jewellery, watches, handbags and keys. Some restrictions do apply. In a lot of all risk insurance policies, you can only claim for these all-risk items if they are stolen from you by or with the intent of violence.

Leaving your handbag in the back of your car and having a window broken and the handbag stolen is not covered under all-risks insurance but can be covered up to a value of €500 under our Car insurance policies.

If your rings or watches are misplaced or lost whilst on holiday, it may be covered by your travel insurance, but is not covered under any house insurance policy in Spain.

INSURING HIGH VALUE ITEMS IN SPAIN.

If you have an artwork collection, individual items of high value , large amounts of jewellery or are a collector of things, they can all be covered. There may be limits on the maximum cover or values.

All of these high value, individual or collective items, should be mentioned separately and our home insurance advisor will advocate the procedures for insuring them on your house insurance policy.

Photographs, valuations and appraisals may be needed to confirm the insurance values of these items. In the event of jewellery cover, a safe may need to be installed if you haven’t already got one.

ARE CONTENTS INSURED IN A VACANT PROPERTY?

Yes, our house contents insurance will cover you as standard for up to a period of 30 days unoccupied. This can be increased for up to 180 days, as long as you notify the insurance company or insurance agent prior to extending the unoccupied period. If a property is vacant or left unoccupied for more than 180 days,  theft cover is not available.  All other covers remain in place.

HOW TO REDUCE INSURANCE PREMIUMS IN SPAIN.

We would all like cheaper insurance premiums!. Our team of property insurance experts are trained to get the best for your money and will talk you through and offer advice on all aspects of reducing your home insurance premiums when you request a quote or are just looking for information.

Some of the ways you can reduce insurance premiums are:-

Increase your first access or deductible.

Your first excess on any house or home insurance policy in Spain is the amount you agree to contribute towards the making of any claim. The first excess amounts are designed to reduce the amount of very small claims that might normally be submitted to the insurance company and greatly reduce their administration costs for claims that are under €300.

Our house insurance policies do not have a first excess charge unless you are making a claim for garden furniture (€150). By applying or increasing a first excess on your property insurance, the insurance company will reduce your premiums as you will then be responsible for paying the first €300 up to €2,000 excess charge. The higher the first excess the greater the discount.

Install a safe.

If you do have any valuables it is always common sense to install a safe in your house, even if you do not intend to insure the contents. A safe will keep your passports and important documents safely and protect items from fire if it is fire proofed.

Have the safe professionally installed and surrounded in concrete with the appropriate anchor bolts or fixings. Unless you are wearing the jewellery or watches at night, they should always be contained in the safe.

Theft or burglaries whereby jewellery or watches have been taken off and left on the side table will not be covered.

If you are forced to open the safe under duress or under the threat of violence, any insured items will be covered.

Install an alarm system.

In Spain, there are many companies that can provide inexpensive alarm systems on a subscription basis. Alarm systems can contact the local police stations direct and provide you with a text message that your alarm has been triggered.

Some systems will provide window and motion sensors, monitored grounds, internal cameras and the list goes on. How complex or efficient you want the alarm to be is up to you. Alarm systems will reduce your insurance premiums.

Multipoint locks on doors and windows.

Many properties in Spain are broken into because they do not have multi point locks on their door and windows. Patio doors are a common access point, and the insurance company will want to know what protections you do have in place.

Riejas or bars on windows and doors,

The metal bars and ornate ironwork often seen in front of windows on Spanish properties are called Riejas. These are sturdy wrought iron bars about 4 inches apart designed to keep burglars out.  They are concreted into the surrounding walls and are a great deterrent and is enhanced if you have double or triple glazing.

Sturdy doors are acceptable with multi-locks. Patio doors and windows may need additional security as older patio and sliding doors are quite easy to break in to.

Sliding riejas, for patio doors and external access points help to reduce your insurance premiums too.

Combine insurances in Spain.

Combining your insurances can save you more money than you think. Insurance companies in Spain often offer considerable discounts if you apply more than one insurance to the same company. Some may not offer insurance for premiums that are small unless another form of insurance in contracted.

Stay with the same insurance company, especially if you have one or more insurances with them. The Insurance agent should be able to offer you preferable terms at renewal and you could then get some form of loyalty bonus, or favourable renewal premiums.

Cancel your bank insurance policy.

Spanish Banks are notoriously hardball if you try and cancel an insurance policy with them. Often part of the loan or mortgage agreement, they will try and threaten you with an increase in interest rates if you do, which is  totally illegal.

24/7 365 DAYS A YEAR HOME EMERGENCY CALL OUT SERVICE.

For homeowners, renters and Landlords in Spain, this is invaluable and not all house or home insurance policies provide this service.

This Emergency 24 hour, 365 days a year call out service gives you the peace of mind in knowing that any emergency repairs, break-ins, burst pipes, broken windows etc, will be attended to, even if you are not there!

If you are on holiday and become aware of an issue that requires an emergency repair to your property in Spain, there is no need to fly back. Our insurance services will take care of the emergency repairs and make your house safe until you return.

Even in the event of a total loss or serious damages, they contribute towards flying you back and paying for accommodation whilst repairs are done to your property.

It works, it’s tested regularly.

Areas of cover.

Property locations can determine your insurance premium, the more affluent a location the more likely the higher the insurance premiums because the property will have a higher value.

We can provide property insurance for any Expat in any property on the Iberian Peninsula, including the Islands and Portugal.

ONLY PAY FOR WHAT YOU NEED.

Our property insurance team will ask all the right questions to get you the best deal available and make sure you are and do have the proper insurance cover for what you need.

All our house, home and holiday home insurance policies are tailor made for you so that you only pay for what you really need.

HOUSE AND HOME LIABILITY INSURANCE IN SPAIN.

What is liability insurance?

Liability insurance (standard with all of our property insurances) provides you with protection against claims resulting from injuries and damage  to people or property on your premises or land.

Liability insurance will contribute to your legal costs and payments for which you may be found to be liable.

Liability insurance does not normally cover intentional or criminal acts, even if you are found legally responsible.

Trespassers may get bitten by your dog, you may be responsible if your dog is classified in Spain as a dangerous dog  as per the dangerous dog list, and you don´t have liability insurance to cover it. Our house insurance gives you an option to include  liability for a pet, at no additional costs.

INSURING WOODEN HOUSES IN SPAIN.

Temporary or permanent wooden houses are popular in Spain. Nestled amongst or in woodlands and forests, in the mountains, or just used as additional accommodation on camp sites or on private land. 

Some special requirements such as fire extinguishers and fire blankets are needed, and the fire extinguishers must be within test.

INSURING STATIC & MOBILE HOMES IN SPAIN.

Static homes, mobile homes and caravans can all be insured in Spain.  Locations, types. styles, values and sizes, will determine the cover available. There is such a large variety of this type of home, that you will need to contact us to get a viable quote for the insurance

PROPERTY INSURANCE RENEWALS.

At www.insurnceinspain.com we pride ourselves in offering an excellent service to all our clients, our professional, qualified team of insurance experts have the knowledge and experience to assist in any insurance matters.

Our services are completely confidential, our advice is free of charge and you are under no obligation to buy from us. We will go out of our way to help you, even if you are not a client.

PROPERTY INSURANCE IN PORTUGAL.

Our sister company, www.insuranceinportugal.com can offer you most types of property insurance in Portugal. Please contact them or us if you require an insurance quote for a house, home or holiday home in Portugal.